Sec. 14-181. Involuntary transfers.
Sec. 14-181. Involuntary transfers. (a) If the interest of an owner in a vehicle
passes to another other than by voluntary transfer, the transferee shall, except as provided
in subsection (b), promptly mail or deliver to the commissioner the last certificate of
title, if available, proof of the transfer, and his application for a new certificate in the
form the commissioner prescribes.
(b) If the interest of the owner is terminated or the vehicle is sold under a security
agreement by a lienholder named in the certificate of title, the transferee shall promptly
mail or deliver to the commissioner the last certificate of title, his application for a new
certificate in the form the commissioner prescribes, and an affidavit made by or on
behalf of the lienholder that the vehicle was repossessed and that the interest of the
owner was lawfully terminated or sold pursuant to the terms of the security agreement.
If the lienholder succeeds to the interest of the owner and holds the vehicle for resale,
he need not secure a new certificate of title but, upon transfer to another person, shall
promptly mail or deliver to the transferee or to the commissioner the certificate, affidavit
and other documents required to be sent to the commissioner by the transferee.
(c) A person holding a certificate of title whose interest in the vehicle has been
extinguished or transferred other than by voluntary transfer shall mail or deliver the
certificate to the commissioner upon request of the commissioner. The delivery of the
certificate pursuant to the request of the commissioner does not affect the rights of the
person surrendering the certificate, and the action of the commissioner issuing a new
certificate of title as provided herein is not conclusive upon the rights of an owner or
lienholder named in the old certificate.
(1957, P.A. 607, S. 17.)